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Home > News > Local > MoreReport: Vancouver economy forecast to shrink 0.9% in 2009Housing, manufacturing sectors responsible for negative growth Shane Bigham VANCOUVER (NEWS1130) | Tuesday, March 31st, 2009 11:42 am
News1130 file photoVANCOUVER (NEWS1130) - Vancouver's economy is forecast to shrink by 0.9 per cent this year. It's the first time that's happened since the Conference Board of Canada began its Metropolitan Outlook report back in 1987.Economist Alan Arcand says the weak housing market is the main reason for the negative growth, with new housing starts in Vancouver forecast to decline by 40 per cent this year. But Arcand says there are other problems too, including the manufacturing sector.Arcand says they're expecting a recovery in 2010, but cautions that if the current economic downturn or recession goes longer and deeper than expected, the recovery could be delayed. The report says only five Canadian cities will record growth in their economies this year: Saskatoon, Regina, Winnipeg, Quebec City and Ottawa
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